What has just happened?

In a move to put the UK at the forefront of the space technology, Boris Johnson pledges hundreds of millions of pounds to invest in the collapsed satellite OneWeb.[1]

What does it mean?

Galileo is Europe’s novel satellite navigation system intended to rival the US controlled global positioning system, it cost £8 billion.[2] As a result of the UK’s withdrawal from the EU, Britain has been banned from being involved with ‘Galileo’ to which UK’s taxpayers have already paid £1 billion.[3] One Web satellites is a joint venture between OneWeb and Airbus, the world’s second largest space company to manufacture low-cost, ultra-high performing satellites at high-volumes.[4] Other key investors in the consortium are India’s Bharti Enterprises, Sir Richard Branson’s Virgin Group, Qualcomm and Airbus.[5] OneWeb went into US bankruptcy protection in March after failing to secure $2 billion from its biggest shareholder, SoftBank.[6]

The UK government aims to use OneWeb as a platform to develop a combined communication and positioning service at lower cost than the $5 billion estimated for its navigation project.[7] The UK government has put up £500 million as part of a consortium bidding in the auction for OneWeb.[8] The government’s decision to invest in OneWeb is against the advice of its own space agency[9] who question its viability. However, the government’s decision has been supported by Paul Febvre, chief technology officer of the Satellite Applications Catapult, space technology and innovation hub. He states that a combination of OneWeb and techniques used to enhance GPS and Galileo would result in the delivery of highly accurate and resilient positioning services.[10] The deployment of satellite constellations in low-earth orbit will provide enhanced internet backhaul service capability that will extend the network of existing fixed and mobile service providers to reach under-served areas.[11] At Law Miracle, we believe that the UK government’s decision to invest in OneWeb is not a gamble but investment which will reap benefits for the country’s economy in the future.

How does it impact the legal sector?

A telecommunications satellite’s lifetime, starting from the launch and ending at de-orbiting is governed by international space law.[12] The group of international law rules applicable to satellite telecommunications includes UN Space treaties, specifically, the 1967 Outer Space Treaty, 1972 Convention on International Liability for Damage caused by space objects, and the 1976 Convention on Registration of objects launched into Outer Space as well as several UN General Assembly resolutions. [13] The Space Industry Act (SIA) 2018 is a major milestone in establishing the environment for safe, responsible and commercial operations from the UK spaceports.[14] The act sets out a high-level framework for commercial space activities and provides an important and timely step towards realising commercial satellite launches from the UK, with a modern, safe and supportive regulatory framework.[15] Space activities from the UK require licenses that will be issued either by the UK Space Agency (UKSA) or the Civil Aviation Authority (CAA).[16] A satellite operatory license covers the procurement of a satellite launch and/ or the operation of the satellite in orbit. These are currently issued by the UKSA under the Outer Space Act (OSA) 1986 but in the future will be issued under either the OSA or SIA.[17] Therefore, at Law Miracle, we believe that OneWeb is likely to be regulated by the Space Industry Act 2018.

There is a need for further clarification of laws involving the space industry as to the liability, licensing and insurance, artificial intelligence and intellectual property in space law. The growth in the space industry will have a significant impact on the legal sector at the national and international levels. The international law firm, Bird & Bird is helping OneWeb establish the terrestrial network for its ambitious plan to launch a constellation of low earth orbit (LEO) satellites that will cover the globe.[18]

Therefore, the government’s investment in OneWeb is not a gamble but a contribution to the growth of the UK space industry.

Written by Samriti Rudhra

Assessing Firms

#Bird&Bird #Clyde&Co #Dentons #HoganLovells #Milbank #Sherman&Howard

References

[1] Peggy Hollinger and George Parker, ‘UK ready to invest millions to back OneWeb bid’ Financial Times (25 June 2020) < https://www.ft.com/content/a1da90e8-8869-4740-b5eb-d8c6339d8e2f> accessed 2 July 2020.

[2] Daniel Boffey, ‘Security row over EU Galileo satellite project as Britain is shut out’ The Guardian (13 June 2018) < https://www.theguardian.com/technology/2018/jun/13/eu-member-states-block-uks-access-to-galileo-satellite-programme-after-brexit> accessed 2 July 2020.

[3] Ibid

[4] ‘Revolutionizing the Economies of Space’ (OneWeb Satellites) https://onewebsatellites.com accessed 1 July 2020.

[5] Peggy Hollinger and George Parker, ‘UK ready to invest millions to back OneWeb bid’ Financial Times (25 June 2020) < https://www.ft.com/content/a1da90e8-8869-4740-b5eb-d8c6339d8e2f> accessed 2 July 2020.

[6] Ibid

[7] Peggy Hollinger, ‘UK gamble on OneWeb signals more interventionist space policy’ Financial Times (2 July 2020) < https://www.ft.com/content/597f0bb4-d3d2-4d70-a972-8021dbf6f241> accessed 2 July 2020.

[8] Peggy Hollinger and George Parker, ‘UK ready to invest millions to back OneWeb bid’ Financial Times (25 June 2020) < https://www.ft.com/content/a1da90e8-8869-4740-b5eb-d8c6339d8e2f> accessed 2 July 2020.

[9] Peggy Hollinger, ‘UK gamble on OneWeb signals more interventionist space policy’ Financial Times (2 July 2020) < https://www.ft.com/content/597f0bb4-d3d2-4d70-a972-8021dbf6f241> accessed 2 July 2020.

[10] Ibid

[11] ‘Satellite constellations: A powerful new tool for rural connectivity’ (Tech UK, 10 March 2020) <https://www.techuk.org/insights/opinions/item/17029-satellite-constellations-a-powerful-new-tool-for-rural-connectivity> accessed 2 July 2020.

[12] Elina Morozova and Yaroslav Vasyanin, ‘International Space Law and Satellite Telecommunications’ (Planetary Science, December 2019) < <https://oxfordre.com/planetaryscience/view/10.1093/acrefore/9780190647926.001.0001/acrefore-9780190647926-e-75> accessed 3 July 2020.

[13] Ibid

[14] Lousie Hughes, ‘The Space Industry Act 2018’ (UK Space Agency, 2018) < https://www.unoosa.org/documents/pdf/copuos/lsc/2018/tech-01.pdf> accessed 3 July 2020.

[15] ibid

[16] ‘Applying for a future license under the space industry act’ (UK Space Agency, 8 February 2019) <https://www.gov.uk/guidance/applying-for-a-future-licence-under-the-space-industry-act> accessed 3 July 2020.

[17] Ibid

[18] ‘Bird & Bird’s international satellite team supports OneWeb on the set up of its global terrestrial network’ (Bird & Bird, March 2019) <https://www.twobirds.com/en/news/press-releases/2019/australia/bird-birds-international--satellite-team-supports-oneweb-on-set-up-of-its-global-terrestrial-network> accessed 1 July 2020.

Disclaimer: This article (and any information accessed through links in this article) is provided for information purposes only and does not constitute legal advice.